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China inflation

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Even though China saw inflation speed up vaguely in April, it remained subdued, thereby making it possible for the government to introduce measures aimed at fostering the economy. Concerns have been recently raised over the strength of the economic recovery and the state of the world’s second economy.

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Following Chinese New Year holiday, there was good news for the China’s economy. Inflation was contained and the country saw the 10-month high food prices drop. Implementing a ‘prudent monetary policy’, the governor of the People’s Bank of China underlined that the policy would not be ’relaxed’ or ‘relatively neutral.’

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Official data showed on the 9th of November that China’s annual consumer inflation slowed to a 33-month low on food cost in the month of October thus giving the government scope to introduce new easing measures if needed. The policy of the China’s government has succeeded in supporting the growth of the world’s second-biggest economy.

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China’s inflation slowed down in September to 1.9 percent, giving the government of People’s Republic of China space to introduce new monetary policies as the country’s economy slows down. China’s inflation in September was close to the slowest pace in almost two years and producer prices dropped the most since 2009, showing the increasing weakness in the second-largest economy in the world.

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The precious yellow metal, true to its tradition of breaking record highs when the rest of the economy is in doldrums, shot over $1,500 …

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